Method of cross-marketing utilizing electronic coupons

ABSTRACT

A method of providing multiple level, price-per-unit (PPU) discounts on gasoline to a customer who purchases at least one cross-marketed product. The customer is awarded a first PPU discount on the gasoline based on a purchase by the customer of a first cross-marketed product, and is awarded a second PPU discount based on the purchase of a second cross-marketed product. The first discount is then added to the second discount to determine a total PPU discount, and a paper receipt is printed for the customer with a customer identification and a transaction identification encoded in a bar code thereon. The total discount is stored in a discounts issued database. The customer then scans the encoded bar code with a bar code scanner at a gasoline dispenser to redeem the discount. The total discount is retrieved from the discounts issued database, and the gasoline station then reduces the price-per-unit-volume of the gasoline by an amount equal to the total discount. When the customer completes the gasoline purchase, a value of the total discount redeemed is determined and stored in a discounts redeemed database. Portions of the discount redeemed are then allocated to vendors of the first and second cross-marketed products according to predetermined criteria.

BACKGROUND OF THE INVENTION

[0001] 1. Technical Field of the Invention

[0002] This invention relates to the generation and redemption ofdiscount coupons for multiple vendors and, more particularly, to amethod of controlling the generation, distribution, and redemption ofcoupons, and the allocation of discounted values to multiple vendorsinvolved in cross-marketing ventures.

[0003] 2. Description of Related Art

[0004] Vendors of various products often find it desirable to enter intocross-marketing agreements in which the purchase of a product from afirst vendor earns a discount coupon for the consumer on a product froma second vendor. As used herein, the term “vendor” refers to themanufacturer of a specific product or the supplier of specific services.The term “high volume retailer (HVR)” refers to the store where theproducts or services are purchased, such as grocery stores, discountstores, warehouse stores, supercenters, etc.

[0005] Systems and methods exist which track the redemption of suchcross-marketing coupons and control the allocation of discounted valuesbetween the vendors. These systems and methods, however, do not enablevendors to associate issued coupons directly with specific customers ortransactions. Nor do existing systems and methods generate coupons orrewards applicable to discounts on the price per unit of across-marketed product such as gasoline which is sold by the gallon orliter. In addition, existing systems and methods are not flexible and donot enable a vendor to offer variable discounts which increase if acustomer purchases a plurality of cross-marketed products or purchasesproducts from a plurality of cross-marketing vendors. The discountamount is fixed for each purchase.

[0006] This is a disadvantage if vendors attempt to use existing systemsand methods to cross-market a consumable such as gasoline which is soldat a particular price per gallon. Since the total amount of a gasolinepurchase generally cannot be determined in advance, a discount for aparticular amount may not be appropriate. For example, a $5.00 discountis not appropriate if the consumer fills up an automobile with gasoline,and the total charge is only $4.00. In addition, studies have shown thatit is more attractive to consumers of gasoline to receive a discount onthe price per gallon than it is to receive a fixed discount on the totalpurchase. Current control systems and methods cannot handle a discounton the price per gallon since the total discount is not known before thepurchase is completed.

[0007] An additional problem with existing systems and methods fortracking and allocating discount coupons is that they do not allow forcumulative savings based on the purchase of multiple cross-marketedproducts. It would be desirable to gasoline vendors to have a methodwhich would allow the application of varying discounts to the price pergallon based on the number of cross-marketed products purchased. Forexample, if the gasoline vendor had a cross-marketing agreement withvarious vendors of products sold by a HVR merchant, the purchase ofProduct A could result in a discount in the price of the gasoline of$0.02 per gallon. Likewise, the purchase of Product B could result in adiscount in the price of the gasoline of $0.02 per gallon. If theconsumer buys both products, it would be desirable to discount the priceof the gasoline by $0.04 per gallon. Existing systems and methods do notperform this function.

[0008] Although there are no known prior art teachings of a solution tothe aforementioned deficiency and shortcoming such as that disclosedherein, several references discuss subject matter that bears somerelation to matters discussed herein. U.S. Pat. No. 5,173,851 to Off etal. (Off) discloses a system for creating discount coupons in responseto the purchases of products. Off includes a process in which a couponis issued in response to the purchase of multiple triggering items.However, the coupon is for a predetermined amount, and is not variable.Multiple items must be purchased in order to qualify for the fixeddiscount.

[0009] U.S. Pat. No. 4,949,256 to Humble (Humble) discloses a couponvalidation network for automatically processing product coupons.Databases are maintained for coupons issued by manufacturers and forcoupons redeemed by retailers. The system enables retailers toautomatically process coupons presented for redemption by consumers, andenables manufacturers to conveniently reimburse retailers for the valueof the redeemed coupons. However, Humble does not teach or suggest asystem or method of handling multiple level discounts or discounts onthe basis of a price per gallon.

[0010] Review of each of the foregoing references reveals no disclosureor suggestion of a method such as that described and claimed herein. Inorder to overcome the disadvantage of existing solutions, it would beadvantageous to have a method which enables vendors to associate issuedcoupons directly with specific customers or transactions, and whichallows the application of multiple level discounts to the price pergallon of gasoline based on the number of cross-marketed productspurchased. The present invention provides such a method.

SUMMARY OF THE INVENTION

[0011] In one aspect, the present invention is a method of providingmultiple level discounts on a first product to a customer who purchasesat least one cross-marketed product. The method comprises the steps ofawarding a first discount on the first product to the customer based ona purchase by the customer of a first cross-marketed product, awarding asecond discount on the first product to the customer based on a purchaseby the customer of a second cross-marketed product, adding the firstdiscount to the second discount to determine a total discount on thefirst product, and awarding the total discount to the customer.

[0012] In another aspect, the present invention is a method of providinga discount on a first product to a customer who purchases at least onecross-marketed product. The method begins by awarding a first discounton the first product to the customer based on a purchase by the customerof a first cross-marketed product, and then issuing a coupon to thecustomer which provides a customer identification and a transactionidentification. A discount amount is stored in a discounts issueddatabase which associates the discount amount with the customeridentification and the transaction identification. This is followed byinputting, by the customer in a subsequent transaction, the customeridentification and the transaction identification, retrieving thediscount amount from the discounts issued database, and reducing theprice of the first product by the discount amount.

[0013] In yet another aspect, the present invention is a method ofproviding multiple level discounts on gasoline to a customer whopurchases at least one cross-marketed product. The method includes thesteps of awarding to the customer, a first discount on theprice-per-unit-volume of the gasoline based on a purchase by thecustomer of a first cross-marketed product, and awarding a seconddiscount on the price-per-unit-volume of the gasoline based on thepurchase of a second cross-marketed product. The first discount is thenadded to the second discount to determine a total discount on theprice-per-unit-volume of the gasoline. A paper receipt is printed forthe customer with a customer identification and a transactionidentification encoded in a bar code thereon. The total discount, amaximum number of volume units allowed, and a minimum purchase ofgasoline required in order to qualify for the discount are stored in adiscounts issued database which associates these data with the customeridentification and the transaction identification. The customer thenscans the encoded bar code with a bar code scanner at a gasolinedispenser. The total discount is retrieved from the discounts issueddatabase, and the gasoline station then reduces theprice-per-unit-volume of the gasoline by an amount equal to the totaldiscount. When the customer completes the gasoline purchase, a value ofthe total discount redeemed is determined. This is followed by verifyingthat the value of the total discount redeemed is equal to or less thanthe maximum discount allowed, and verifying that the amount of gasolinepurchased is equal to or greater than the minimum purchase required toqualify for the discount. The value of the discount redeemed is thenstored in a discounts redeemed database, and portions of the discountredeemed are allocated to vendors of the first and second cross-marketedproducts according to predetermined criteria.

BRIEF DESCRIPTION OF THE DRAWINGS

[0014] The invention will be better understood and its numerous objectsand advantages will become more apparent to those skilled in the art byreference to the following drawings, in conjunction with theaccompanying specification, in which:

[0015]FIG. 1 is a message flow diagram illustrating the messages sentbetween the components of the system of the present invention during across-merchandising transaction;

[0016]FIG. 2 is a table illustrating an exemplary record format for aDiscounts Issued message which informs a system controller of thediscounts issued by a grocery store POS terminal;

[0017] FIGS. 3A-3C are a flow chart illustrating the steps of the methodwhen a customer redeems an issued discount at a gasoline station; and

[0018]FIG. 4 is a flow chart illustrating an overall method of issuing,redeeming, and clearing discount coupons in which the method of thepresent invention may be practiced.

DETAILED DESCRIPTION OF EMBODIMENTS

[0019] The present invention is a method of utilizing electronic couponsfor cross-marketing. By making a purchase of one or more products, acustomer earns discount credits toward the purchase of another productsuch as gasoline. For example, if the customer buys Product A from a HVRmerchant such as a grocery store or convenience store, she may earn aPrice Per Unit (PPU) discount of $0.02/gallon on her next purchase ofgasoline at a participating gas station. Her receipt from the grocerystore may be imprinted with an encoded bar code which is read by abar-code reader at the gasoline dispenser. The price of the gasoline isthen adjusted to provide her with her discount. The receipt is treatedas a legal tender coupon. Therefore, if the discount earned is greaterthan the PPU price of the gasoline, the customer may get a credit backat the end of the transaction for the unused portion of the discount.Alternatively, the coupon can be printed to inform the customer that itis good only up to the PPU price of the gasoline.

[0020] The PPU price on the gasoline dispenser can be discounted tomultiple levels, depending on the discount which the customer hasearned. For example, if the customer also bought Product B whichprovides a gasoline discount of $0.02/gallon, in addition to Product A,then the system automatically adds the two discounts together tocalculate a total discount. Thus, when the customer scans in her receiptand purchases gasoline, she receives a PPU discount of $0.04/gallon.

[0021] The system also tracks discounts that are not product-specific.For example, a HVR merchant such as a grocery store may offer a gasolinediscount if a customer purchases a threshold amount of groceries over adesignated period of time. For example, a purchase of $100 in a singletrip may earn a discount of $0.10/gallon, while a purchase of $200 mayearn a discount of $0.20/gallon. Alternatively, cumulative purchasesover the time period may reach a threshold level and qualify for adiscount. For example, purchases totaling $300 in a week may qualify fora $0.10/gallon discount. Additionally, since some products in the storeprovide a higher margin to the retailer, the grocery store may targetthe purchases to a specific department such as bakery goods. Forexample, a $15 bakery purchase may entitle the customer to a$0.04/gallon discount. Other products such as produce need to be soldfairly rapidly to avoid spoilage. These products may also be targeted toprovide gasoline discounts.

[0022] The customer may also scan in several receipts at the gasolinedispenser and be awarded a cumulative discount. The receipts may be fromseveral visits to a single HVR merchant, or may be from multipleindependent HVR merchants. As discussed below, the receipt is encoded toprovide the system with the proper information regarding the identity ofthe customer, the receipt, and the HVR merchant.

[0023] Some grocery stores offer frequent shopper cards to theircustomers which provide discounts on selected products if the card isscanned at the register at the time of purchase. The present inventionenables the customer to utilize credits earned on her frequent shoppercard to obtain PPU discounts on gasoline. The card may be electronicallyupdated with credits earned at the conclusion of a shopping trip to thegrocery store. The credits earned are also printed on the customer'sreceipt so that she has a record of the discount earned. The credits arethen recognized when the customer scans the card at the gasolinestation. The credit is then applied to the gasoline purchase. If theentire credit is not utilized, the remaining credit is updated on thecard.

[0024] The present invention is not limited to any one method ofproviding the system with data regarding the identity of the customer,the receipt, and the issuing HVR merchant. Thus, for example, thediscount may be encoded in a bar code on a printed receipt, it may betransferred by a radio frequency identification (RFID) device, or it maybe magnetically encoded on a frequent shopper card or other magneticmedium such as a prepaid card or credit card. The customer may also begiven a code number which may be entered at the gasoline dispenser inorder to trigger the discount in the price per gallon. A personalidentification number (PIN) may be utilized to trigger the discount orto provide security for any form of other electronic coupon.

[0025] The gasoline business is highly cost competitive, and customersgenerally purchase their gasoline at the station where they perceivethey are getting the best price per gallon. It is difficult, however,for a gasoline retailer to maintain a competitive price advantagebecause as soon as he lowers his posted street price, his competitorslower their prices to match. The present invention offers a method bywhich a gasoline retailer can maintain a posted street price (seen byhis competitors) while offering his customers the benefit ofindividualized prices which are discounted from the posted street price.The method also enables gasoline retailers who operate conveniencestores in conjunction with their gasoline sales to increase inside salesby offering discounts on gasoline in response to the purchase of goodsinside the store.

[0026]FIG. 1 is a message flow diagram illustrating the messages sentbetween the components of the system of the present invention during across-merchandising transaction. The system includes a HVR point of sale(POS) terminal 11, a gas station 12, and a controller 13 which isassociated with a HVR discounts issued database 14, a HVR discountsredeemed database 15, and a residual value database 16.

[0027] When a customer purchases items from the HVR merchant, the HVRPOS terminal 11 determines at 21 which purchases qualify for aprice-per-unit (PPU) discount on gasoline. A total PPU discount is thencalculated by adding each individual PPU discount for which the customerhas qualified. Transaction data including an identification of thecustomer and the total discount issued is sent to the HVR discountsissued database 14 in a Discounts Issued message 22. The customeridentification may be utilized to track customer loyalty or, in the caseof HVR merchants that require memberships, the customer identificationmay be utilized to verify membership. At 23, the HVR POS terminal printsa receipt for the customer which includes an encoded customeridentification and transaction identification associated with thediscount, and the customer takes the receipt to the gas station 12.

[0028] Referring briefly to FIG. 2, an exemplary record format is shownfor the Discounts Issued message 22 which carries customer, transaction,and store identifications to the HVR discounts issued database 14. Field1 serves as the key for matching the customer's receipt with aparticular discount record. This number may be encoded, for example, ina bar code on the POS sale receipt. Field 1 may be divided intosub-fields 1 a-1 c. Sub-field 1 a identifies the chain to which the HVRstore belongs. This number is unique across the discount program, andenables a customer to redeem a discount earned at a particular store ina chain at any other store in the chain. Sub-field 1 b identifies theparticular store within the HVR chain. This number must be unique withina chain or store ownership group. Sub-field 1 c is a site-uniquediscount identifier which may be utilized in combination with sub-fields1 a and 1 b to identify a particular customer or transaction. Sub-field1 c must be unique within a site (chain+store) discount expirationperiod. Fields 2 and 3 report the date and time of the sale.

[0029] Field 4 identifies a particular POS terminal within theidentified site for store auditing purposes. Field 5 shows the PPUdiscount issued in cents per fuel-unit volume (for example,0.15/gallon). Field 6 shows the maximum fuel units that are authorizedfor sale at the discounted price, and Field 8 shows the minimum fuelunits that must be purchased in order to qualify for the discount. ThePOS terminal may issue a total discount instead of a PPU discount and,if so, this information is supplied in Field 7. When Field 7 (totaldiscount) is supplied, Field 8 (minimum units) may also be supplied, butField 5 (unit discount) must not be supplied. Conversely, when Field 5(unit discount) is supplied, Field 6 may be supplied, but Field 7 (totaldiscount) and Field 8 (minimum units) are ignored.

[0030] Field 9 provides the local date of the last day that the discountis valid. Field 10 provides a list of logical coupon identificationswhich made up the discount, and Field 11 provides a count of the numberof logical coupons that made up the discount. The coupon IDs may bepassed to the HVR discounts redeemed database 15 and to a clearing house(not shown) in a Discounts Redeemed record so that the discount can beallocated to the proper vendors according to predetermined criteria. Thediscount may be allocated according to negotiated agreements or on a prorata basis. Field 12 provides a loyalty card identifier for individualcustomers of stores that use loyalty cards such as frequent shoppercards.

[0031] Referring again to FIG. 1, when the customer desires to redeemthe discount, the receipt is scanned at 24 by a bar code scanner at thepump dispenser at the gasoline station 12. This causes the dispenser tosend a start transaction message 25 to the controller 13. The starttransaction message includes the data scanned from the customer'sreceipt. At 26, the controller retrieves information regarding theissued discount from the HVR discounts issued database 14. At 27, thecontroller also retrieves information regarding any residual discountthat may have been stored in the residual value database 16 from aprevious transaction. At 28, the controller validates the scanned databy comparing it with data retrieved from the HVR discounts issueddatabase 14 and the residual value database 16. If the scanned data isvalid, the controller adds any residual discount to the discount issuedto obtain a total PPU discount. The controller then determines anadjusted PPU price by subtracting the total PPU discount from the normalprice. The controller also sets an upper limit on the number of gallonssubject to the discount. If the customer scans more than one receipt,the process from steps 24 to 28 is repeated, and the discount associatedwith each receipt is added to the total PPU discount, and is subtractedfrom the normal price.

[0032] The controller then sends a set discount message 29 to thedispenser and includes instructions to adjust the displayed price pergallon by the amount of the total PPU discount, and to set the maximumlimit on the number of gallons that can be purchased at the discountedprice. Alternatively, a maximum discount value can be set. If thecalculated total PPU discount is greater than the PPU displayed on thegasoline dispenser, the controller sets the displayed PPU price to zero(0). On dispensers that will not display a PPU price of zero, the lowestprice which the dispenser will display is shown to the customer. Afterthe sale is complete, and the sale amount is reported to the controllerat step 32, the controller sets the sale amount to zero.

[0033] At 31, the gasoline station dispenser adjusts the price pergallon on the dispenser, and the dispenser is authorized. When the saleis completed, the dispenser sends an end transaction message 32 to thecontroller and includes the actual sale amount. The actual value of thediscount redeemed is then determined at 33. At 34, the discount redeemedamount is then sent to the HVR discounts redeemed database 15. The HVRmerchant can compare data from the HVR discounts issued database 14 andthe HVR discounts redeemed database 15 to determine the effectiveness ofcross-marketing agreements on various products. The controllerdetermines if there is any residual discount at 35, and if so, sends theresidual discount at 36 to the residual value database 16. At 37, thecontroller sends the discount redeemed to a clearing house (not shown)for allocation to the proper vendors.

[0034] FIGS. 3A-3C are a flow chart illustrating the steps of the methodwhen a customer redeems an issued discount at a gasoline station.Referring concurrently to FIG. 1 and FIG. 3A, it can be seen at step 41that the process may be started by having the customer press a “Rewards”button at the gasoline dispenser, and then selecting a grade of gasolineto be purchased at step 42. Alternatively, the process may be startedautomatically when the customer selects a grade of gasoline and then at43, scans the bar code on the receipt that was printed at the HVR POSterminal. At 44, the gas station then sends the information scanned fromthe bar code, which includes the discount reference number, a customeridentification, and a transaction identification to the controller 13which retrieves information relating to the issued discount from thediscounts issued database 14. The controller also retrieves informationregarding any residual discount that may have been stored from aprevious transaction in the residual value database 16. The controllerthen calculates a total PPU discount at step 45 by adding the issueddiscount to the residual discount, if any. If the customer scansadditional receipts, the process repeats steps 42-45 and calculates atotal PPU discount that combines the discounts for all scanned receipts.

[0035] At 46, it is determined whether or not the calculated total PPUdiscount is greater than the PPU displayed on the gasoline dispenser. Ifnot, the method moves to step 47 and subtracts the total PPU discountfrom the displayed PPU and then displays a new discounted PPU on thedispenser at 48. However, if the calculated new discounted PPU is lessthan or equal to zero, the discounted PPU is then set to zero (0) at 47and is displayed on the dispenser. If the PPU is not zero at 48, themethod moves to step 49 where the display instructs the customer toenter payment, which may be a credit card or dollar bills. 1 f the PPUis zero, the method moves directly to step 50 where the customer'srecord is locked, and a timer is started at 51. The method then moves toFIG. 3B, step 55.

[0036] If the timer expires at step 55 before any further action istaken, the method moves to step 56 where the timer automatically endsthe transaction. Thus, if the customer finds, for example, that he hasno money, or is unable to complete the transaction for any other reason,the next person in line does not get the customer's discount. Thecustomer's record is unlocked at 57, and the value of the customer'sdiscount is retained.

[0037] If the customer presses a “Cancel Transaction” button at 58before the timer expires at 55, the method also moves to step 56 wherethe transaction is canceled and the customer's record is unlocked at 57,and the value of the customer's discount is retained. If the CancelTransaction button is not pressed, the method moves to step 59 where thecustomer enters his payment. At step 61, it is determined whether or notthe customer's credit card is accepted. If not, the method moves to step56 where the transaction is canceled and the customer's record isunlocked at 57, and the value of the customer's discount is retained. Ifthe credit card is accepted, the method moves to step 62 where thedispenser is authorized to dispense up to the maximum number of gallonsauthorized in Field 6 of the Discount Issued message 22 (FIG. 2). Thedispenser is automatically shut off if the maximum number of gallons isreached.

[0038] It is then determined at step 63 whether or not the customer hasdispensed fuel. If not, it is determined at 64 whether or not the timerhas expired. If the timer has not expired, the method returns to step 63and waits for the customer to begin dispensing the fuel. If the customerdoes not begin dispensing fuel before the timer expires, the methodmoves to step 65 where the transaction is canceled and the customer'srecord is unlocked at 66, and the value of the customer's discount isretained. If the customer dispenses fuel at 63, the method moves to step67 where the customer completes fueling and turns off the dispenser. Themethod then moves to FIG. 3C, step 70.

[0039] At step 70, the value of the discount redeemed is determined bymultiplying the PPU discount by the number of gallons purchased. Theprocess then moves to step 71 where it is determined whether there isany residual value to the issued discount. If so, the method moves tostep 72 where the residual value is added to the residual value database16 in a new residual value record. For the customer's convenience, thegasoline dispenser may then print a residual value coupon for thecustomer at 73 which can be utilized to redeem the residual value in afuture transaction. Following this, or if the issued discount did nothave any residual value, the method moves to step 74 where the oldresidual value record is deleted from the residual value database. Atstep 75, the discount is then deleted from the discounts issued database14 for the discount reference number utilized. The customer's record isthen unlocked at 76. At 77, the discount is then added to the discountsredeemed database 15.

[0040]FIG. 4 is a flow chart illustrating an overall method of issuing,redeeming, and clearing discount coupons in which the method of thepresent invention may be practiced. A vendor 82, a marketer 83, a HVRmerchant 84, and a clearing house 85 are involved in the method. Dottedlines in the flow chart represent the passing of settlement information.The HVR merchant may be, for example, a grocery store or conveniencestore which also sells gasoline to its customers. The HVR merchantutilizes a POS terminal 86 through which sales transactions areprocessed. The transactions may be categorized as departmenttransactions 87, loyalty transactions 88, or vendor transactions 89. Adepartment transaction 87 may be sales in a particular department suchas the bakery department in which the HVR merchant has decided to offerawards for bakery purchases. By purchasing a minimum amount of bakerygoods, the customer is issued a discount coupon which is good for areduction in the PPU price of gasoline at the store. Therefore,fulfillment at 91 and settlement are accomplished within the HVRmerchant's own accounting system.

[0041] A loyalty transaction 88 may be a transaction in which thecustomer utilizes a store credit card or frequent shopper card.Fulfillment at 91 and settlement of the gasoline discount for thistransaction are also accomplished within the HVR merchant's ownaccounting system. However, transactions involving the purchase of aparticipating vendor's products at 89 require fulfillment at 92 andsettlement through the clearing house 85 and the marketer 83.

[0042] It is thus believed that the operation and construction of thepresent invention will be apparent from the foregoing description. Whilethe method shown and described has been characterized as beingpreferred, it will be readily apparent that various changes andmodifications could be made therein without departing from the scope ofthe invention as defined in the following claims.

What is claimed is:
 1. A method of providing multiple level discounts ona first product to a customer who purchases at least one cross-marketedproduct, said method comprising the steps of: awarding a first discounton the first product to the customer based on a purchase by the customerof a first cross-marketed product; awarding a second discount on thefirst product to the customer based on a purchase by the customer of asecond cross-marketed product; adding the first discount to the seconddiscount to determine a total discount on the first product; andawarding the total discount to the customer.
 2. The method of providingmultiple level discounts of claim 1 wherein the customer purchases thefirst cross-marketed product from a first merchant, and purchases thesecond cross-marketed product from a second merchant.
 3. The method ofproviding multiple level discounts of claim 1 wherein the first productis a consumable good sold in multiple units, and the first, second, andtotal discounts are discounts on the price per unit of the consumablegood.
 4. The method of providing multiple level discounts of claim 3wherein the consumable good is gasoline, and the first, second, andtotal discounts are discounts on the price-per-unit-volume of gasoline.5. The method of providing multiple level discounts of claim 4 furthercomprising: issuing an electronic coupon to the customer, said couponproviding a customer identification and a discount identification; andstoring the total discount in a discounts issued database whichassociates the total discount with the discount identification.
 6. Themethod of providing multiple level discounts of claim 5 wherein theelectronic coupon is selected from the group consisting of: a paperreceipt with the customer identification and discount identificationencoded in a bar code imprinted thereon; a paper receipt with thecustomer identification and discount identification encoded in a codenumber imprinted thereon; a frequent shopper card with the customeridentification and discount identification magnetically encoded thereon;a prepaid card with the customer identification and discountidentification magnetically encoded thereon; a credit card with thecustomer identification and discount identification magnetically encodedthereon; a radio frequency identification (RFID) device with thecustomer identification and discount identification encoded in a RFtransmission; and a smart card.
 7. The method of providing multiplelevel discounts of claim 6 further comprising the steps of: presentingthe discount for redemption at a gasoline station; and reducing, by thegasoline station, the price-per-unit-volume of the gasoline by an amountequal to the total discount.
 8. The method of providing multiple leveldiscounts of claim 7 wherein the step of presenting the discount forredemption at a gasoline station includes scanning an encoded bar codewith a bar code scanner at a gasoline dispenser, and the method furthercomprises, after scanning the encoded bar code, the step of verifyingthe discount scanned from the bar code by comparing the scanned discountwith the stored discount in the discounts issued database.
 9. The methodof providing multiple level discounts of claim 8 wherein the step ofverifying the discount also includes requesting the customer to enter apersonal identification number (PIN).
 10. The method of providingmultiple level discounts of claim 8 further comprising, after the stepof storing the total discount in a discounts issued database, the stepsof: storing, in the discounts issued database, a maximum number ofgallons of gasoline to which the discount applies; and storing, in thediscounts issued database, a minimum purchase of gasoline required inorder to qualify for the discount.
 11. The method of providing multiplelevel discounts of claim 10 further comprising the steps of: determininga value of the total discount redeemed; verifying that the value of thetotal discount redeemed is less than or equal to the maximum discountallowed; and verifying that the amount of gasoline purchased is greaterthan or equal to the minimum purchase required to qualify for thediscount.
 12. The method of providing multiple level discounts of claim11 further comprising the steps of: storing the value of the discountredeemed in a discounts redeemed database; and allocating portions ofthe discount redeemed to vendors of the first and second cross-marketedproducts according to predetermined criteria.
 13. A method of providinga discount on a first product to a customer who purchases at least onecross-marketed product, said method comprising the steps of: awarding afirst discount on the first product to the customer based on a purchaseby the customer of a first cross-marketed product; issuing a coupon tothe customer, said coupon providing a customer identification and atransaction identification; storing a discount amount in a discountsissued database which associates the discount amount with the customeridentification and the transaction identification; inputting by thecustomer in a subsequent transaction, the customer identification andthe transaction identification; retrieving the discount amount from thediscounts issued database; and reducing the price of the first productby the discount amount.
 14. The method of providing a discount on afirst product of claim 13 further comprising, after the step of awardinga first discount, the steps of: awarding a second discount on the firstproduct to the customer based on a purchase by the customer of a secondcross-marketed product; and adding the first discount to the seconddiscount to determine a discount amount on the first product.
 15. Themethod of providing a discount on a first product of claim 13 whereinthe first product is gasoline, and the discount amount is a discount onthe price-per-unit-volume of gasoline.
 16. A method of providingmultiple level discounts on gasoline to a customer who purchases atleast one cross-marketed product, said method comprising the steps of:awarding to the customer, a first discount on the price-per-unit-volumeof the gasoline based on a purchase by the customer of a firstcross-marketed product; awarding to the customer, a second discount onthe price-per-unit-volume of the gasoline based on a purchase by thecustomer of a second cross-marketed product; adding the first discountto the second discount to determine a total discount on theprice-per-unit-volume of the gasoline; printing a paper receipt for thecustomer with a customer identification and a discount identificationencoded in a bar code thereon; storing the total discount in a discountsissued database; storing, in the discounts issued database, a maximumnumber of gallons to which the discount applies; storing, in thediscounts issued database, a minimum purchase of gasoline required inorder to qualify for the discount; scanning the encoded bar code with abar code scanner at a gasoline dispenser; verifying the discount scannedfrom the bar code by comparing the scanned discount with the storeddiscount in the discounts issued database; reducing, by the gasolinestation, the price-per-unit-volume of the gasoline by an amount equal tothe total discount; determining a value of the total discount redeemed;verifying that the value of the total discount redeemed is less than orequal to the maximum discount allowed; verifying that the amount ofgasoline purchased is greater than or equal to the minimum purchaserequired to qualify for the discount; storing the value of the discountredeemed in a discounts redeemed database; and allocating portions ofthe discount redeemed to vendors of the first and second cross-marketedproducts according to predetermined criteria.
 17. A method of providinga price-per-unit-volume discount on gasoline to a customer who purchasesa cross-marketed product in a sales transaction, said method comprisingthe steps of: awarding the price-per-unit-volume discount to thecustomer based on a purchase by the customer of a cross-marketedproduct; issuing an electronic coupon to the customer, said couponidentifying the customer and the sales transaction; storing theprice-per-unit-volume discount in a discounts issued database whichassociates the discount with the customer and sales transaction;storing, in the discounts issued database, a maximum number of volumeunits of gasoline to which the discount is applied; storing, in thediscounts issued database, a maximum purchase of gasoline required inorder to qualify for the discount; beginning a sales transaction byentering a customer identification and a transaction identification at agasoline dispenser at a gas station; retrieving theprice-per-unit-volume discount from the discounts issued database;reducing, by the gasoline station, the price-per-unit-volume of thegasoline by an amount equal to the discount; determining a value of thetotal discount redeemed; verifying that the value of the total discountredeemed is less than or equal to the maximum discount allowed;verifying that the amount of gasoline purchased is greater than or equalto the minimum purchase required to qualify for the discount; andstoring the value of the discount redeemed in a discounts redeemeddatabase.
 18. The method of providing a price-per-unit-volume discounton gasoline of claim 17 wherein a residual discount is stored in aresidual value database, and the method further comprises, afterretrieving the price-per-unit-volume discount from the discounts issueddatabase, the steps of: retrieving the residual discount from theresidual value database; and adding the residual discount to theprice-per-unit-volume discount.
 19. The method of providing aprice-per-unit-volume discount on gasoline of claim 18 wherein the stepof reducing the price-per-unit-volume of the gasoline by an amount equalto the discount includes the steps of: determining whether the discountis greater than or equal to the price-per-unit volume of the gasoline;and setting the price-per-unit volume of the gasoline equal to zero on agasoline dispenser upon determining that the discount is greater than orequal to the price-per-unit volume of the gasoline.
 20. The method ofproviding a price-per-unit-volume discount on gasoline of claim 19wherein the step of setting the price-per-unit volume of the gasolineequal to zero includes the steps of: determining whether the dispenseris of a type that can set the price-per-unit volume to zero; setting thedispenser to the minimum price-per-unit volume that the dispenserallows, upon determining that the dispenser is of a type that cannot setthe price-per-unit volume to zero; and setting a sales transaction valueof zero when the transaction is completed.